Circle’s USDC Becomes First Approved USD-Pegged Stablecoin in Japan

Circle has secured approval to introduce USDC in Japan, making it the first and only USD-pegged stablecoin authorized in the Japanese market. The official launch is set for Wednesday through SBI VC Trade, a cryptocurrency exchange under SBI Group.

BREAKING NEWS: Circle becomes the first and only stablecoin to be approved for use in Japanese markets, with Circle launching new operations, a strategic JV with SBI Holdings, and imminent launch of USDC by SBI VC Trade, with other major exchanges to follow.

We have spent 2+…

— Jeremy Allaire – jda.eth / jdallaire.sol (@jerallaire) March 24, 2025

Following its initial launch, Circle intends to list USDC on other Japanese exchanges, including Binance Japan, Bitbank, and bitFlyer. The planned expansion follows regulatory approval earlier this month granting SBI VC Trade the ability to handle USDC transactions.

Regulatory Approval and Market Entry

Japan updated its stablecoin regulations in 2023. The new framework requires service providers to register under the Funds Settlement Act and the Banking Act before circulating stablecoins. According to a prior statement from SBI, this framework ensures regulatory compliance for stablecoin issuers.

To align with these regulations, Circle spent over two years collaborating with Japanese regulators, banking institutions, and industry leaders to introduce USDC to the market. Emphasizing its broader impact, Circle’s co-founder and CEO Jeremy Allaire highlighted that USDC’s utility goes beyond cryptocurrency transactions. He noted that the stablecoin could facilitate payments, cross-border finance, commerce, and foreign exchange.

By leveraging these partnerships, Circle aims to integrate USDC into Japan’s financial ecosystem. The stablecoin will offer reliable solutions for digital payments, settlements, and treasury operations.

USDC Adoption in Japan

With its entry into Japan, Circle aims to strengthen USDC’s liquidity and market presence while reinforcing institutional confidence in its stability. Establishing a dedicated local entity allows the company to accelerate stablecoin adoption, enhance financial infrastructure, and support businesses by fostering digital finance innovation.

Recognizing Japan’s leadership in Web3 and blockchain technology, Allaire emphasized the country’s clear regulatory framework for stablecoins.

“Japan has consistently been a leader in adopting Web3 and blockchain technology, with regulators setting clear guidelines for stablecoin use in the financial system,” Allaire noted.

He added that Circle Japan KK, alongside SBI Holdings and top exchanges, will ensure that USDC serves as a secure and transparent digital dollar suited to Japan’s evolving digital economy.

Meanwhile, Yoshitaka Kitao, Representative Director and CEO of SBI Holdings, stated that SBI is committed to driving USDC adoption in Japan. He believes this initiative will boost financial accessibility and advance digital asset innovation, aligning with the firm’s broader vision for payments and blockchain-based finance in the country.